Nigeria Retail 2025 – What Will Retail Look Like?
How is retail in Nigeria changing? What will Nigeria retail look like in 2025? What trends will shape Nigeria Retail in 2025?
To everyone working in retail: We have good news and bad news.
- The good news is that innovation is radically changing retail in Nigeria.
- The bad news is that innovation is radically changing retail in Nigeria.
What Will Nigeria Retail Look Like in 2025?
By 2025, stores will still exist, but their prime function will be customer experience and only the most agile retailers will survive and bloom again. Data exploitation will change everything. Personalization will become the key to improving the experiences of our customers to ensure proximity and advice. In this ensuing scenairio, retail personnel’s capacity to deliver the retail experience will become the competive edge.
Therefore, discerning retailers must begin now to focus more investments on these core issues that will shape the future of retail in Nigeria.
What Will Nigeria Retail Look Like in 2025?
Here are a few thoughts on what retail will look like in Nigeria by 2025 and the possible trends that are shaping it that retailers must pay keen attention to.
The trends that will shape Nigeria retail in 2025:
Stores will still exist, but their most important function will be customer experience.
In 2025, stores will still exist, but their prime function will be customer experience. Tedious tasks, like logistics, will become more and more automated, but we have to keep in mind that the five human senses can only be stimulated in store! And so far, no bot or personalization tool has been able to even come close to a good sales assistant.
Only the most agile and efficient retailers will survive and bloom again.
Retailers must take a proactive stance and tackle the challenges that they’ll face shortly. Agility and efficiency across the whole organization will be key for all retailers if they wish to thrive in the age of not only Amazon and Alibaba, but also the age of digitally native brands and the marketplaces that can connect with and serve customers in the way they wish to be interacted with.
By 2025, only the most agile retailers will survive and bloom again. Therefore, more investments have to be targeted on supply chain and inventory optimization. Pure players have set new customer service standards that have to be matched by traditional retailers: fast deliveries, click and collect, ship from store, easy returns.
To secure a respectable place by 2025, retailers must be prepared to implement bold and big internal restructuring, including systems, marketing optimization and empowering salespeople, which in 2025 will be key to them achieving the agility and customer service that is demanded.
Data exploitation will change everything
Data exploitation is profoundly changing the way that we do business. This is a great opportunity to reinvent ourselves, and its key for every retailer. Personalization will always be an issue to improve the experience of our customers and ensure proximity and advice.
Key trends that will shape retail space in Nigeria by 2025:
- The “new retail” or hybrid business between physical and digital experience. There won’t be a barrier for the customer anymore as they can choose at any time their preferred omnichannel purchase mode (store app, payment without cashing, etcetera)
- New ways of marketing and interacting with the customer: Via “messaging, social networks, global platforms (like Tmall in China, etc.)
New immersive shopping experiences
There has been a revolution of retail in Nigeria since the end of 2013, driven by:
- Deliberate attempt to draw retailers’ attention to the transformation taking place in the retail space
- The deliberate attempt the organise the heavily fragmented retail market
- The advent of western styled malls like The Palms
- The advent of international retailers and implications for local retailers to modernize
- Emergence of E-commerce platforms and new alternative to physical business models
- Adoption of technology by retailers to improve their operation.
By 2025, the retail space in Nigeria will be redefined. There will be:
- Dynamic planogram based on local store needs
- Location-based services for consumers
- Dynamic pricing based on accurate demand forecasting
- Immersive shopping experience by providing a store-like e-commerce experience
Sustainability is more than just good marketing
By 2025, consumers and retailers in Nigeria alike will become more aware of the need to take care of the planet. They will become more willing to accept new measures that they know will help build a better world. There will be more adoption of measures such as avoiding plastics, re-gifting, regenerative and non-polluting materials, or new technologies that will help businesses reduce the use of materials.
The key question is: how are you preparing for the next wave of transformation sweeping across retail in Nigeria? The time to prepare is NOW!
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